Lindian Resources Secures Fixed-Price Diesel Supply for Kangankunde Project
Lindian Resources has established a 12-month fixed-price diesel supply agreement for its Kangankunde rare earths project in Malawi, securing up to 500,000 litres at US$2.83 per litre. This deal mitigates fuel price risks during construction and commissioning, ensuring cost certainty as the company progresses toward production.
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Lindian Resources has signed a fixed-price diesel supply agreement with Petroda Malawi for up to 500,000 litres at US$2.83 per litre. This arrangement, valid for 12 months, is set to eliminate fuel price exposure during construction and mining start-up.
The supply will be delivered in two tranches of 250,000 litres, ensuring availability without on-site storage limitations. The project, connected to the ESCOM network, benefits from Malawi's hydropower resources, thus providing stable power without additional generation requirements. Lindian's $100M institutional placement is expected to facilitate debt-free advancement into stage one mining and processing, enhancing project viability amid market volatility.
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